Which of the Following Statements Is True

question 12

Multiple Choice

Which of the following statements is true?

• A) The BMR must be lower than the TMR.
• B) The TMR must be lower than the BMR.
• C) Consistent caloric intake above the BMR will cause a gain in weight.
• D) Both A and C are true.

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Definitions:

Interest Expense

The cost incurred by an entity for borrowed funds, typically reported on the income statement as a non-operating expense.

Net Profit Margin Percentage

A financial metric expressing the percentage of revenue remaining after all operating expenses, interest, taxes, and preferred stock dividends have been deducted from a company's total revenue.

Gross Margin

The difference between sales revenue and the cost of goods sold, indicating the profitability of a company's core activity.

Net Operating Income

The profit generated from a company's operational activities, excluding taxes and interest.